9 min read In the retail and eCommerce industry, how good your customer support is plays an as important role as your product in determining how likely your customers are to return.
And chances are, you’ve already implemented a chatbot to assist your customers—offering basic replies and automating repetitive queries. However, with the rapid evolution of generative AI, those early chatbots now feel inadequate and outdated, unable to meet today’s heightened customer expectations.
Traditional, manual approaches at key customer touchpoints simply cannot keep up with the scale and speed required. Automation is no longer a luxury; it’s a necessity to deliver consistent, round-the-clock support. Generative AI has redefined what’s possible, enabling personalized, conversational, and intelligent interactions that go beyond scripted responses.
In this blog, we’ll explore how retail and eCommerce businesses can use AI to improve their customer support experiences and achieve seamless scalability while keeping customers delighted.
Table of Contents
Why should retail and eCommerce businesses automate customer support?
Automation in customer support is more than just a trend—it has somewhat become a necessity because of challenges in the manual approach to customer support. Here’s why it’s absolutely necessary for retail and e-commerce businesses:
1. 24/7 Availability customers expect
Modern shoppers expect instant answers, regardless of the time. A study by Oracle revealed that 42% of customers expect a response within an hour, even during non-business hours. Automation ensures your business is always “on,” providing real-time support that meets customer expectations.
2. Scaling without breaking the bank
Handling increasing customer inquiries manually is costly and inefficient. Automation allows you to scale seamlessly without hiring and training an army of support agents. By 2025, 80% of customer service inquiries will be handled by AI solutions, saving billions in operational costs across industries.
3. Personalization that delights customers
Contrary to the belief that automation is impersonal, AI-powered tools can deliver highly personalized customer support interactions. For example, generative AI can analyze purchase history and recommend solutions or products tailored to individual customers, making them feel valued.
4. Faster resolutions, happier customers
Automated systems like AI chatbots resolve issues instantly, cutting down wait times significantly. Almost half of the consumers are willing to share data for faster and more personalized resolutions—a win for automated systems that process this data in real-time.
5. Consistency across touchpoints
Manual support often varies based on the agent’s experience or mood. Automation delivers consistent, error-free responses every time, ensuring uniform customer experiences across all touchpoints.
6. Focus on high-value tasks
By automating repetitive queries, your support team can focus on complex, high-value tasks that require human empathy and expertise, driving better outcomes for customers and the business.
Benefits of automating customer support in the retail industry
Retail businesses are increasingly turning to automation for customer support—and for good reason. Here are the benefits that go beyond simply meeting expectations:
1. Reduced operational costs for businesses
For retail businesses, one of the most tangible benefits of automation is the cost-saving potential. Manual customer support often requires hiring, training, and retaining a large team of agents—a costly process that grows with the business.
Automation reduces this dependency by handling repetitive queries and tasks efficiently. For example, AI-powered chatbots can process thousands of inquiries simultaneously, minimizing the need for additional staff during peak seasons like Black Friday or holiday sales.
These savings can be redirected toward enhancing core business functions, like inventory management or marketing.
2. Scalability without complications
As your business grows, so does the volume of customer queries. Scaling a manual support system requires proportional investment in resources, which isn’t always practical.
Automated solutions, however, can scale effortlessly. Whether you’re handling a hundred inquiries or a hundred thousand, AI systems adapt to the demand without compromising on speed or quality.
Additionally, automation ensures consistent support across global time zones, making it easier for businesses to expand into new markets without logistical challenges.
3. Faster, effortless resolutions for customers
From a customer’s perspective, automation means getting the help they need, exactly when they need it. Waiting on hold or receiving slow email responses can be frustrating, particularly for urgent issues.
Automated tools provide real-time assistance, such as guiding customers through returns, resolving payment issues, or tracking orders. The immediacy of these solutions creates a smoother experience, building trust and satisfaction.
In fact, customers value businesses that respect their time, and automation ensures that their queries are addressed quickly and effectively, leaving a lasting positive impression.
Must-have automation for retailers and eCommerce businesses
Automation has become a cornerstone for modern retail and eCommerce businesses aiming to scale efficiently while delivering exceptional customer support.
From handling basic inquiries to managing complex workflows like returns and refunds, advanced AI-based support solutions like Auralis can transform how businesses operate. Here are the essential use cases that every retailer should consider automating:
1. Instant order tracking and updates
Customers often seek real-time updates on their orders. Automating this process through AI-powered chatbots or email workflows ensures customers can easily track their orders without reaching out to support agents.
Auralis’ intelligent systems integrate with logistics providers to offer end-to-end visibility, notifying customers about shipment dispatch, transit updates, and estimated delivery times. This automation reduces repetitive inquiries and builds trust through transparency.
2. Simplified returns and refunds
Returns and refunds can be operationally intensive but are crucial for customer satisfaction. Automating these workflows allows businesses to handle them seamlessly.
For example, Auralis’ custom AI workflows guide customers through the return process, verify return eligibility, and automatically initiate refunds once conditions are met. This minimizes manual intervention, reduces errors, and enhances the customer experience.
3. Smart product recommendations
Automation can go beyond basic support by enhancing customer engagement. With AI-driven recommendation engines, you can analyze browsing and purchase behavior to suggest products that customers are most likely to buy.
These personalized suggestions can appear during live chats, post-purchase interactions, or even abandoned cart recovery messages, boosting conversions and average order value (AOV).
4. Handling customer support inquiries
Automating common customer inquiries like payment issues, account login troubles, or FAQs can significantly reduce the burden on support teams.
Auralis’ AI agent is designed to handle multi-layered questions, escalate complex issues to human agents when necessary, and ensure a seamless handoff. The result? Faster resolutions and happier customers.
5. Proactive customer engagement
Engagement doesn’t have to start with the customer—businesses can take the lead. Automating proactive outreach, such as notifying customers about restocked items or abandoned carts, keeps your brand top of mind.
AI-based support agents enable businesses to personalize these interactions using purchase history and preferences, driving repeat purchases and long-term loyalty.
6. Personalized promotions and discounts
Offering the right promotion at the right time can be a game-changer. Automation tools analyze customer data to create targeted campaigns, such as discount offers for high-value customers or time-sensitive deals for price-sensitive shoppers.
Automated support platforms can help ensure these promotions reach the right audience through email, SMS, or in-app notifications, maximizing impact.
7. Automated feedback collection
Understanding customer sentiment is critical for improvement. Support automation tools collect and analyze feedback through post-purchase surveys, product reviews, or support interactions. Advanced AI models can sift through feedback data to highlight recurring themes, enabling businesses to take actionable steps quickly.
8. Order modification requests
Handling last-minute order changes manually can lead to delays and errors. Automating order modification workflows enables customers to adjust delivery addresses, update quantities, or modify preferences instantly. Auralis’ support systems integrate inventory and logistics tools to ensure updates are processed in real time.
9. Inventory management alerts
Automation doesn’t just enhance customer-facing workflows; it’s equally vital for back-end operations. Auralis’ predictive AI tools monitor inventory levels and send alerts when stocks run low. These systems can also suggest restocking timelines based on demand forecasting, ensuring your business avoids stockouts and overstocking.
10. Fraud detection and prevention
Protecting your business from fraud is another area where automation can help. Auralis’ AI-powered systems analyze transaction patterns to detect suspicious activities, such as multiple failed login attempts or unusual payment methods. When flagged, these cases can be escalated for manual review, safeguarding your business and customer data.
11. Seamless loyalty program management
Rewarding loyal customers should be effortless. Automating loyalty programs allows businesses to track points, notify customers about rewards, and redeem offers seamlessly. Auralis integrates with loyalty systems directly into customer support workflows, ensuring a smooth experience for your most valuable shoppers.
12. Multi-language support
For global retailers, language barriers can be a significant challenge. Automating multi-language support using Auralis’ AI ensures customers receive assistance in their preferred language, reducing friction and improving satisfaction across diverse markets.
13. Upselling and cross-selling during support
Customer support interactions offer prime opportunities to boost sales. AI-driven automation can identify upselling and cross-selling opportunities during live chats or post-resolution interactions. For example, if a customer is inquiring about a specific product, Auralis’ system can suggest complementary items or upgrades tailored to their needs.
14. Subscription Management
For businesses offering subscription-based services, automation simplifies managing renewals, cancellations, and plan modifications. Auralis streamlines these workflows, ensuring customers can make changes effortlessly while reducing churn.
15. Crisis Management Support
In unexpected situations like product recalls or delivery delays, automation helps businesses respond quickly and effectively. Auralis’ AI systems can handle high volumes of inquiries, provide consistent messaging, and proactively communicate updates, minimizing customer frustration.
Conclusion
Shopping journeys today are increasingly multi-step and complex, making it essential to move beyond standard chatbots and adopt custom workflows tailored to unique customer journeys.
Automation powered by advanced AI not only ensures seamless support but also aligns with the growing expectations of modern consumers.
Auralis provides the tools and expertise to create these bespoke solutions, delivering transformative results for retailers and eCommerce businesses.
Ready to improve your customer support? Book a demo with Auralis today and experience the future of automation.
